Signed by Governor Mike Pence

Vote Smart's Synopsis:

Vote to adopt a conference report that establishes regulations on lawsuit funding practices.

Highlights:

• Authorizes a “civil proceeding advance payment” provider to charge the following fees (Sec. 4):
• A fee of up to 36 percent of the funded amount;
• A servicing charge of up to 7 percent of the funded amount;
• A charge of up to $250 to prepare documents, if the funded amount is under $5,000; and
• A charge of up to $500 to prepare documents, if the funded amount is over $5,000.

• Defines “civil proceeding advance payment” as a transaction in which a payment provider provides funds to a plaintiff in a civil proceeding for any purpose other than prosecuting the civil proceeding (Sec. 3).

• Specifies that a civil proceeding advance payment transaction is not a consumer loan (Sec. 3).

Full Bill Text

Vote Smart's Synopsis:

Vote to adopt a conference report that establishes regulations on lawsuit funding practices.

Highlights:

• Authorizes a “civil proceeding advance payment” provider to charge the following fees (Sec. 4):
• A fee of up to 36 percent of the funded amount;
• A servicing charge of up to 7 percent of the funded amount;
• A charge of up to $250 to prepare documents, if the funded amount is under $5,000; and
• A charge of up to $500 to prepare documents, if the funded amount is over $5,000.

• Defines “civil proceeding advance payment” as a transaction in which a payment provider provides funds to a plaintiff in a civil proceeding for any purpose other than prosecuting the civil proceeding (Sec. 3).

• Specifies that a civil proceeding advance payment transaction is not a consumer loan (Sec. 3).

Full Bill Text